Against the background of an increasing government deficit, further superannuation accounts will be transferred to government coffers.
The threshold at which superannuation is said to be “lost” will increase to $6,000 on 1st January 2017.
A simple example of lost superannuation can easily occur where a worker changes job and changes address. Contributions by that employer to the superannuation fund could stop and mail to the member at home will be returned to the superannuation fund.
The governments soft sell on this is that they will be able to match up superfund balances with members. That can occur if the superannuation provides the government with the member tax file number. But any life insurance benefit will disappear.
A worker with multiple jobs over the years may have multiple superannuation funds having to go to some lengths to claim them back, after it is transferred. Hence, the Christmas job to check the possible locations of past employment related superannuation and to prevent it becoming “lost” by notifying of new address, making a contribution (e.g. $1) or consolidating.